In Brief
The appellant and respondent were partners in a family business operating from a shop in Kanpur. An arbitration proceeding under the Arbitration Act, 1996 resulted in a preservation order protecting the shop's valuable assets (gold, silver, diamonds, gems) jointly held by both partners. Following an eviction suit brought by a third-party company (where respondent failed to disclose the joint partnership and preservation order), respondent surrendered the shop and the assets went missing. The appellant filed an FIR alleging theft, house-breaking, and criminal intimidation. The High Court quashed the FIR, finding no offence on its face. The Supreme Court allowed the appeal, holding that the FIR disclosed basic ingredients of theft, house-breaking at night, and criminal intimidation. Removal of jointly-held assets without consent in violation of a preservation injunction prima facie constitutes these offences. The matter must proceed to investigation and trial on the merits.
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